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A Critique of Political Economy - The Process of Capitalist Production

Author: Karl Marx

Publisher: Cosimo, Inc.

ISBN: 1605200069

Category: Business & Economics

Page: 560

View: 8041

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A classic of early modernism, Capital combines vivid historical detail with economic analysis to produce a bitter denunciation of mid-Victorian capitalist society. It has also proved to be the most influential work in social science in the twentieth century; Marx did for social science what Darwin had done for biology. Millions of readers this century have treated Capital as a sacred text, subjecting it to as many different interpretations as the Bible itself. No mere work of dry economics, Marx's great work depicts the unfolding of industrial capitalism as a tragic drama - with a message which has lost none of its relevance today. This is the only abridged edition to take account of the whole of Capital. It offers virtually all of Volume 1, which Marx himself published in 1867, excerpts from a new translation of 'The Result of the Immediate Process of Production', and a selection of key chapters from Volume 3, which Engels published in 1895.

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One of the most notorious works of modern times, as well as one of the most influential, Capital is an incisive critique of private property and the social relations it generates. Living in exile in England, where this work was largely written, Marx drew on a wide-ranging knowledge of its society to support his analysis and generate fresh insights. Arguing that capitalism would create an ever-increasing division in wealth and welfare, he predicted its abolition and replacement by a system with common ownership of the means of production. Capital rapidly acquired readership among the leaders of social democratic parties, particularly in Russia and Germany, and ultimately throughout the world, to become a work described by Marx's friend and collaborator Friedrich Engels as 'the Bible of the Working Class'.

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Capital, Volume I (1867) is a critical analysis of political economy, meant to reveal the contradictions of the capitalist mode of production, how it was the precursor of the socialist mode of production and of the class struggle rooted in the capitalist social relations of production. The first of three volumes of Das Kapital, Kritik der politischen Ökonomie (Capital: Critique of Political Economy) was published on 14 September 1867, dedicated to Wilhelm Wolff and was the sole volume published in Marx’s lifetime.

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Hailed by Friedrich Engels as "the bible of the working class," this 1867 classic of political economics changed the course of history. Thirty years in the making, Capital, Volume I was the first installment of Karl Marx's three-part Das Kapital and the only volume published during his lifetime. Marx declared that society is evolving from crude, unbalanced economic systems toward a utopian state — specifically, communism. His critiques of private property and class struggles aroused tremendous interest and exercised an influence that resonates to this day. Marx offers a penetrating analysis of capitalism's inner workings, examining commodities, value, money, and other factors related to the system's historic origins and contemporary functions. These considerations form the framework for his conclusion: the system cannot be reformed and must be overthrown by a revolution, resulting in a socialist society in which production serves the needs of every individual rather than generating profits for the few.

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THE TWO FACTORS OF A COMMODITY: USE-VALUE AND VALUE (THE SUBSTANCE OF VALUE AND THE MAGNITUDE OF VALUE). THE wealth of those societies in which the capitalist mode of production prevails, presents itself as "an immense accumulation of commodities,"10 its unit being a single commodity. Our investigation must therefore begin with the analysis of a commodity. A commodity is, in the first place, an object outside us, a thing that by its properties satisfies human wants of some sort or another. The nature of such wants, whether, for instance, they spring from the stomach or from fancy, makes no difference. 11 Neither are we here concerned to know how the object satisfies these wants, whether directly as means of subsistence, or indirectly as means of production. Every useful thing, as iron, paper, 8c., may be looked at from the two points of view of quality and quantity. It is an assemblage of many properties, and may therefore be of use in various ways. To discover the various use of things is the work of history.12 So also is the establishment of socially-recognised standards of measure for the quantities of these useful objects. The diversity of these measures has its origin partly in the diverse nature of the objects to be measured, partly in convention. The utility of a thing makes it a use-value.13 But this utility is not a thing of air. Being limited by the physical properties of the commodity, it has no existence apart from that commodity. A commodity, such as iron, corn, or a diamond, is therefore, so far as it is a material thing, a use-value, something useful. This property of a commodity is independent of the amount of labour required to appropriate its useful qualities. When treating of use-value, we always assume to be dealing with definite quantities, such as dozens of watches, yards of linen, or tons of iron. The use-values of commodities furnish the material for a special study, that of the commercial knowledge of commodities.14 Use-values become a reality only by use or consumption: they also constitute the substance of all wealth, whatever may be the social form of that wealth. In the form of society we are about to consider, they are, in addition, the material depositories of exchange value.

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Steve Shipside’s brilliant interpretation of Karl Marx’s Das Kapital, one of the most influential works of political economy of all time, illustrates the principles of Marx’s philosophy with modern examples to enable 21st century businesses to grow by having a social conscience, not in spite of it.

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Written during the winter of 1857-8, the Grundrisse was considered by Marx to be the first scientific elaboration of communist theory. A collection of seven notebooks on capital and money, it both develops the arguments outlined in the Communist Manifesto (1848) and explores the themes and theses that were to dominate his great later work Capital. Here, for the first time, Marx set out his own version of Hegel's dialectics and developed his mature views on labour, surplus value and profit, offering many fresh insights into alienation, automation and the dangers of capitalist society. Yet while the theories in Grundrisse make it a vital precursor to Capital, it also provides invaluable descriptions of Marx's wider-ranging philosophy, making it a unique insight into his beliefs and hopes for the foundation of a communist state.